California, August 24, 2025
News Summary
Marcus Lemonis, Executive Chairman of Bed Bath & Beyond, declared on August 20, 2025, that the company’s stores will not reopen in California due to unfavorable business conditions. High taxes and regulatory issues are cited as major obstacles. While the company launches 300 new stores nationwide, none will be in California. Governor Gavin Newsom expressed skepticism about the company’s future, reigniting the debate over California’s business climate. Despite the absence of physical stores, Bed Bath & Beyond will continue to serve customers in California through delivery services.
California – Marcus Lemonis, Executive Chairman of Bed Bath & Beyond, announced on August 20, 2025, that the company’s retail stores would not be reopening in California. This decision stems from Lemonis’s criticisms of California’s business climate, which he described as “overregulated, expensive, and risky.” In light of recent economic challenges, Bed Bath & Beyond has committed to a comeback strategy that will see 300 new neighborhood stores open nationwide, although California will not be included in this expansion.
The first of these new concept stores, named Bed Bath & Beyond Home, opened its doors in Nashville on August 8, 2025. Lemonis stated that the choice to overlook California was purely based on economic factors rather than politics, affirming that the company must evaluate profitability. He highlighted the burdens of high taxes, fees, wages, and regulatory red tape as significant obstacles to conducting business in the state.
In response to Lemonis’s remarks, California Governor Gavin Newsom took to social media, expressing skepticism about Bed Bath & Beyond’s future and shading the company’s previous bankruptcy by inquiring about its relevance. This reaction has brought to the forefront the ongoing debate regarding California’s attractiveness as a business location, especially as more companies express concern over regulatory burdens and escalating operational costs, prompting some to relocate or reconsider their expansion plans.
Despite no physical stores slated for California, Bed Bath & Beyond will continue to serve California customers through a delivery model, allowing residents to access products without on-site shopping experiences. A spokesperson for the Brand House Collective, which oversees Bed Bath & Beyond, supported this decision, confirming that further expansions would not target California until more favorable business conditions materialize.
The past few years have been tumultuous for Bed Bath & Beyond, as the company filed for bankruptcy and closed all of its stores in 2023. Since then, the organization has pivoted its strategy towards a focus on e-commerce, prioritizing delivery services over traditional brick-and-mortar locations. Lemonis has called for “common sense governance” in California to enhance the business landscape, making it conducive for retail operations.
The ongoing discourse reflects contrasting opinions on the balance between government regulations and the need to create a thriving business environment. Advocates for regulation argue that it is essential for worker protection and ensuring a high quality of life. In contrast, critics claim that excessive regulations detract from business opportunities and growth. Bed Bath & Beyond’s current trajectory appears to encapsulate the intersection of these views as it navigates its future in an evolving retail landscape.
FAQ
Why are Bed Bath & Beyond stores not reopening in California?
Bed Bath & Beyond has decided not to reopen stores in California due to its assessment of the state’s business environment, citing high taxes, regulatory burdens, and associated costs as significant barriers to profitability.
What is Bed Bath & Beyond’s new strategy following bankruptcy?
Following its bankruptcy and closure of all stores in 2023, Bed Bath & Beyond’s strategy focuses on launching 300 new neighborhood stores nationwide, with an emphasis on e-commerce and delivery services rather than brick-and-mortar locations in California.
How has California’s Governor responded to Lemonis’s statements?
California Governor Gavin Newsom responded to Lemonis’s comments on social media, questioning the relevance of Bed Bath & Beyond following its bankruptcy and closures.
What is the future outlook for Bed Bath & Beyond in other states?
Bed Bath & Beyond intends to pursue expansions in states outside California, aiming to establish new stores under the Bed Bath & Beyond Home concept while relying on delivery options to service California customers.
Deeper Dive: News & Info About This Topic
- Business Wire: Statement from Marcus Lemonis
- Wikipedia: Bed Bath & Beyond
- USA Today: California Governor Newsom’s Response
- Google Search: Bed Bath & Beyond
- San Francisco Chronicle: Bed Bath & Beyond California Stores
- Encyclopedia Britannica: Business
- KTLA: Bed Bath & Beyond California Updates
- Google News: California Business Regulations
- KBTX: Bed Bath & Beyond Store Decisions
Author: STAFF HERE LOS ANGELES WRITER
LOS ANGELES STAFF WRITER The LOS ANGELES STAFF WRITER represents the experienced team at HERELosAngeles.com, your go-to source for actionable local news and information in Los Angeles, Los Angeles County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the LA Auto Show, Hollywood Film Awards, and the Los Angeles Marathon. Our coverage extends to key organizations like the Los Angeles Area Chamber of Commerce and the Los Angeles Tourism & Convention Board, plus leading businesses in entertainment and technology that power the local economy such as Warner Bros. and SpaceX. As part of the broader HERE network, including HEREAnaheim.com, HERECostaMesa.com, HEREHuntingtonBeach.com, and HERESantaAna.com, we provide comprehensive, credible insights into Southern California's dynamic landscape.
